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easyMCQCUET Accountancy 2025 14 May Shift 12026Accountancy
1 mark

If partnership deed is silent on the profit sharing ratio and other provisions: interest @_____ per annum is allowed on loans advanced by partners:

  1. A
    8%
  2. B
    6%
  3. C
    10%
  4. D
    12%

Solution & Step-by-step Explanation

According to the Indian Partnership Act, 1932, if the partnership deed is silent regarding explicit interest rates, a partner who advances a loan to the firm beyond their regular capital contribution is entitled to receive interest at the rate of

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If partnership deed is silent on the profit sharing ratio and other provisions: interest @_____ per annum is allowed on loans advanced by partners:
A
8%
B
6%
C
10%
D
12%

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